- Ethereum co-founder Vitalik Buterin is unpleased with the crackdowns on rival cryptocurrencies like Solana.
- He noted that the fall of other blockchains is not in any way a win for Ethereum.
Ethereum co-founder Vitalik Buterin has expressed displeasure about the cold treatment which Solana (SOL) and some other crypto projects have been getting from the regulators in the United States. In recent times, the Securities and Exchange Commission (SEC) has intensified crackdowns on crypto exchanges where SOL, Polygon (MATIC), Decentraland (MANA), and Cardano (ADA) amongst others were trading.
The one comment I'll make is that I feel bad that @solana and other projects are getting hit in this way. They don't deserve it, and if ethereum ends up "winning" through all other blockchains getting kicked off exchanges, that's not an honorable way to win, and in the long term…
— vitalik.eth (@VitalikButerin) June 30, 2023
Leading digital assets service providers Binance and Coinbase were separately sued by the SEC for listing these digital currencies which it tagged unregistered securities.
Up to 12 tokens including BNB (BNB), Binance USD stablecoin (BUSD), Solana (SOL), Cardano (ADA), Polygon (MATIC), Filecoin (FIL), Cosmos Hub (ATOM), The Sandbox (SAND), Decentraland (MANA), Algorand (ALGO), Axie Infinity (AXS,) and Coti (COTI) were listed as securities in the Binance lawsuit. Chiliz (CHZ), Flow (FLOW), Internet Computer (ICP), Near (NEAR), Voyager token (VGX), DASH, NEXO, and some of the previously mentioned tokens were tagged in the Coinbase lawsuit.
Paradigm co-founder Matt Huang directed a question at Vitalik while trying to find out his take on the latest U.S. policy approach to crypto. In response, Vitalik noted that he feels bad that these tokens are bearing the wrath of the SEC especially as they don’t deserve such ill treatment.
Furthermore, he added that;
if Ethereum ends up “winning” through all other blockchains getting kicked off exchanges, that’s not an honourable way to win, and in the long term probably isn’t even a victory.
Buterin clarified that other blockchains are not ETH’s real competitors but the rapidly expanding centralized world that is imposing itself on the crypto industry. Therefore, a more fair outcome would be appropriate for all honorable projects, and this is what he wishes for them.
Solana, Cardano, and Polygon Denounces SEC’s Claims
Amidst this, the Solana Foundation has disagreed with the SEC’s latest crackdown stating that SOL is not an investment contract or security.
At the same time, the foundation mentioned that they are open to the continued engagement of policymakers as constructive partners on regulation to achieve legal clarity on these issues for the thousands of entrepreneurs across the U.S. Furthermore, Input Output Global, the leading developer behind the Cardano blockchain has said that ADA does not meet the criteria set by the SEC for classifying security under U.S. laws.
Similarly, Polygon has also taken a stance that boosted the confidence of its users in the end. The protocol emphasized on Twitter that it is proud of the fact that the network was developed and launched beyond the borders of the United States.
Additionally, Polygon talked about its unreserved dedication to the global community that actively contributes to its network. Further appreciation was extended to the regulators, policymakers, and the non-U.S. market, acknowledging their significant contributions to the protocol.
Ultimately, Polygon stated that it is satisfied with how far they have come while recalling previous endeavors and forthcoming advancements as its commitment to continuous development was also itemized.
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